Small Business Equipment Leasing

Answers To 3 Common Questions About Small Business Equipment Leasing

More and more small business owners are using equipment leasing to grow their business faster. Here are answers to the top three questions business owners ask when determining if leasing is right for them.

Question #1: Why Lease?
Small business equipment leasing is a good choice for owners who want to grow their business or for those just starting a new business. Leasing provides owners an opportunity to have equipment that is needed to make their business successful. Leasing also will allow you to make upgrades in your equipment, keeping you in step with technology and competitive in business. Additionally, leasing is often much easier and faster than getting a traditional loan.

Question #2: Who Should Lease?
Leasing is a good option for those with limited funds who might not be able to afford the costly fees of buying equipment. It is helpful for new business owners who don’t yet have a long credit history and track record of results. What’s more, leasing is helpful for companies on tight budgets since it allows your credit lines and cash flow not to be used up, freeing up more of your money so it can work harder for you.

Question #3: What Are The Terms Of Leasing?
Leasing allows you to finance 100% of the cost of everything including set up, taxes and installation. With a traditional loan there is usually a down payment needed to acquire the loan. With leasing there is a set monthly payment that you can work into your budget. Leasing is usually easier to obtain than other financing. Typically, for equipment purchases under $100,000 you just fill out one form much like a credit card application. The approval process is much quicker than a loan application which can take weeks to be approved.

For these and many other reasons, equipment leasing can be a smart choice for small business owners wanting to start their business without a large initial investment. It provides a way to upgrade without buying new equipment outright and helps to defray many of the costs associated with a business start-up.